What happens if Gigaclear go bust?

Well… the first questions is ‘are they likely to?’. Gigaclear have some very strong Venture Capital backers (Neil Woodford with funds of over £2,000,000 to invest and others) so the chance of them going under for lack of funding isn’t high. Their business model also seems sound and with a reasonable ROI (Return On Investment) should be profitable (hence the Venture Capital investments).

But nothing in business is certain.

However, once installed and operational (and remember Gigaclear won’t be taking any money from us until it is), the fibre network and the customer base would be very valuable to another ISP in the event of Gigaclear’s demise.

It’s estimated that ‘fibreing up’ Kings Cliffe & Apethorpe will cost £500,000 to £750,000. If another ISP could buy that for a fraction of the real cost in a distressed sale they’d be laughing all the way to the bank.

Category: General FAQ